From the mid-1980s through the early-2000s, specialty substance abuse centers, facilities that provide both residential and outpatient treatment services, emerged as dominant players in national substance abuse treatment. During the early to mid-1990s, expensive inpatient and residential treatment, viewed as less cost effective than intensive outpatient treatment models, were targeted as an area for cost-cutting, particularly for private insurance.Concurrently, and throughout this time period, sales of prescription drugs have remained a minor portion of spending for substance abuse treatment. Only a few drugs are available to treat substance disorders. In 2004, acamprosate joined two, other previously FDA approved medications–disulfiram and naltrexone–for the treatment of alcoholism. Buprenorphine for the for the treatment of opiate addiction was approved in 2002. Methadone for treatment of opioid addiction is not available as a retail prescription drug and spending for methadone is included with specialty substance abuse centers.The substance abuse public payer mix is expected to shift toward programs that are wholly or partially funded by state and local governments. Other state and local spending is expected to continue to increase as a share of substance abuse spending throughout the projection period, rising from a 29 percent share in 1986 and a 40 percent share in 2003 to a projected 42 percent share in 2006 and 45 percent share in 2014 as reflected in the figure below. https://gmatclub.org/gmat-focus-tests/resources/import/img/I03-21.png

Official Solution: Based on the conditions of the question and the figure on tab 2, then the $4.6 billion of private spending on substance abuse accounted for approximately 50% of $9.2 billion in overall substance abuse expenditures in 1986. Meanwhile, the $4.7 billion of private spending on substance abuse accounted for only approximately 23% of approximately $20.4 billion in overall substance abuse expenditures in 2003. Therefore, the approximately $9.2 billion of overall on substance abuse expenditures in 1986 would be less than half of the approximately $20.4 billion of overall substance abuse expenditures in 2003. Correct answer: Overall spending on substance abuse more than doubled from 1986 to 2003.: True Private spending on substance abuse is expected to decrease only marginally in the projections from 2003 through 2006 and to 2014.: False Private spending on mental health expenditures in 1986 was greater or expected to be greater than public other state and local such expenditures in any year listed.: False

I25-109 : GMAT Club Tests

I25-109

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True	False
		Overall spending on substance abuse more than doubled from 1986 to 2003.
		Private spending on substance abuse is expected to decrease only marginally in the projections from 2003 through 2006 and to 2014.
		Private spending on mental health expenditures in 1986 was greater or expected to be greater than public other state and local such expenditures in any year listed.